Help from local governments propping up lossmaking Chinese solar companies

Bloomberg

The country’s state-owned electricity distributor, China State Grid Corp (國家電網), announced incentives on Oct. 26 to encourage smaller solar projects, with capacity of less than 6 megawatts, such as rooftop systems. It will buy the electricity and exempt owners from certain fees.

Other Chinese communities are supporting local solar manufacturers. A company controlled by Dongying, a city in Shandong Province, offered US$10 million for a 50.38 percent stake in CNPV Solar Power SA’s sole asset, CNPV Dongying, on Nov. 1.